U.S. Customs and Border Protection has published a Uyghur Forced Labor Prevention Act fact sheet. These are the highlights:
What is UFLPA?
The Uyghur Forced Labor Prevention Act establishes a rebuttable presumption that any goods produced wholly or in part in China’s Xinjiang Uyghur Autonomous Region or by certain entities are prohibited from importation into the U.S. under 19 U.S.C. 1307. It also mandates the preparation of enforcement and diplomatic strategies.
How does Uyghur Forced Labor Prevention Act affect importers?
Beginning June 21, 2022, CBP will apply a rebuttable presumption that goods produced wholly or in part in the region or by entities identified in the enforcement strategy are not allowed to enter into the U.S. An importer may request an exception to the rebuttable presumption from CBP. This will require providing clear and convincing evidence that its imported merchandise was not mined, produced, or manufactured wholly or in part by forced labor.
What can importers do?
- Establish/maintain a due diligence program
- Carefully assess Xinjiang Uyghur Autonomous Region and related supply chain risks
- Mitigate exposure to forced labor risks
- Be prepared to demonstrate compliance with the enforcement strategy’s due diligence, supply chain tracing, and supply chain management measures
- Be prepared to respond to CBP inquiries and to demonstrate that goods are not mined, produced, or manufactured wholly or in part with forced labor
If you have questions, reach out to Mohawk Global Trade Advisors.